05/18/2020 10:11 PM
(Act. May 18, 2020 10:20 PM)
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Will other European countries soon follow?
© JAVIER SORIANO / AFP
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The corona crisis, including mass unemployment in the country, makes “payment without asking for consideration” a reality.
Spain will introduce a basic income for poor households. The left-wing government wants to decide on the so-called “minimum living income” at the end of the month, the Minister for Integration, Social Security and Migration, José Luis Escrivá, announced in Madrid on Monday.
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Shortly after the relevant decree came into force, around 100,000 financially weak households should benefit from the payment, the minister said in a radio interview. In the medium to long term, the number of beneficiary households could rise to around one million
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Corona crisis as an accelerator
A few months ago, Socialist Prime Minister Pedro Sánchez and Unidas Podemos (UP) left-wing leader Pablo Iglesias had agreed to introduce a basic income for the poor at the talks to form their coalition government.
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According to media reports, the implementation of the project has now been accelerated by the corona virus. Madrid hopes that the basic income will not only alleviate the social consequences of the crisis, but will also act as an “economic stimulus”.
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There is so much money! How much does it cost the state!
According to reports, the minimum living income (IMV) should be between 450 and a good 1,000 euros per month. According to Escrivá, social benefits will cost the state up to 3.5 billion euros a year.
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Conditions mostly still secret
Escrivá initially did not want to disclose the conditions for a right to the IMV in detail. He only said that the applicants’ net assets should not exceed a maximum. Up to a certain amount, the value of a home would not be included in the calculation of the property. Households with children and with only one parent would be given special consideration. Depending on the situation, financially weak households could also receive the new aid alongside other social benefits.
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Unemployment rate of 20 percent
Spain’s gross domestic product will shrink by around 9.2 percent this year due to the corona pandemic. The unemployment rate is also expected to rise from 13.8 percent at the end of 2019 to around 19 percent this year.
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This is how the country thinks about a BG: (archive)
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